This is very true. We don't see too many administrators who are paid outrageously, our athletics department handles all of that. Highest paid state employee for a few years - the ex Coach Mangino.
I think the coach of a football program making a huge sum is different from the administrator of a college - for one thing, elite football coaching talent is in short supply. The supply of executives who can lead a university is not. Last I checked there are plenty of executives cooling their heels golfing etc.
However I could be convinced to hold football/basketball coaching salaries way down as part of a movement to de-professionalize college athletics by sending the coaches who are really using college athletics as a way to huge salaries to the pros. The way it operates now is simply absurd, especially given that elite level players receive none of the spoils of filling stadiums during the prime athletic years of their lives.
Back directly on topic, the problem with administrators making huge multiples of professors is it is attracting the wrong kind of people, i.e. profit maximizers who figure out how to funnel increasingly large sums of money into their own pockets. As an example consider the activities of the UC Regents: http://www.metroactive.com/features/diploma-mills.html